Business Franchising Just What Should You Look For In

Business Franchising Just What Should You Look For In A Franchise?

What is a Franchise?

An authorization to sell a company’s goods or services in a particular place
A business established or operated under an authorization to sell or distribute a company’s goods or services in a particular area.

How did franchising start?

One of the earliest franchisors was the Singer Sewing Machine Company, which set up dealers shortly after the Civil War to sell and repair its revolutionary machines throughout the country. Shortly after the turn of the century, Coca-Cola licensed others to manufacture and distribute its wonderful elixir. Ford Motor Company later set up dealers to sell and service its products. Of course, McDonald’s is an example of how an entrepreneur (Ray Kroc) could take an idea and quickly spread it coast to coast (and eventually around the world) without starting out with millions of dollars in capital. Many companies turn to franchising as a system for expansion because they recognize that they can grow rapidly with a minimum amount of capital and enlist top-notch partners if the company is willing to share the...